NORTH MINDANAO STEEL CORPORATION

EMPLOYEE HANDBOOK
Article 1. OPERATING POLICIES absence for cases of emergency. Upon returning to work, the employee shall
accomplish the excuse slip/ application for leave and secure the signature of his
A. HOURS OF WORK immediate superior to indicate approval.

Section 1: Normal Working Hours – The office and plant operate on a regular
work of six days a week, eight hours a day, from Monday to Saturday. Working
Hours is from 8:00 to 5:00 pm daily, with break periods in the morning and
afternoon for 15 minutes, and a one-hour lunch break from 12:00- 1:00 pm.
B. TIMEKEEPING
Section 1: Time-keeping Procedure – Every employee should utilize the
official time card and Bundy clock to indicate in and out of work.
Any employee caught punching other employee’s time card will be subjected to
disciplinary action.
- In case when the pre-scheduled leave is not followed due to swapping,
cancellation, rescheduling, etc. the employee shall file an application for
leave three (3) days before such leave is due. The concerned employee
shall verify first whether his/her leave application has been approved or
not. When the employee shall take his absence while the application
was not yet approved, his absence will be considered AWOL or Absence
Without Official Leave.
- An Employee who is absent without leave (AWOL) for five consecutive
days is considered to have abandoned work and therefore subject to
outright dismissal from the company.
Section 2: Limit

Section 2: Tardiness – Habitual tardiness of an employee is dereliction of duty Nature of Absence No. of days Requirement
and shall be subject to disciplinary action and shall negatively affect one’s over-all __________________ __________________ ________________
rating. At the end of each quencena/month, the total no. of minutes an employee is
late is summarized by the accounting payroll deductions. Personal Leave over 10 times every Excuse Slip
And above Leave w/ 6mos. Application for
Section 3: Undertime Reporting – Any personnel punching out before the end Pay Leave/ Permit to
Work from GM
of working hours shall be considered on undertime, and shall be subjected to salary
deduction at the end of quencena/ month.
Section 3: Absences Due to Sickness – Any employee who is absent for 3 consecutive
C. ABSENCES days due to sickness should obtain the medical certification from the physician to
support application for sick leaves.
Section 1: Notice of Absence – All employees shall inform the office
immediately either by telephone, cell phone, or by letter as to the reason of his
D. OVERTIME
Section 1: Approval for Overtime Work – Prior approval of the immediate
superior be obtained before overtime work is done. No payment will be made for
overtime work unless the required authority form has been submitted nor will
payment be made in excess of the authorized number of hours.
Section 2: Procedures in the Preparation and Submission of Overtime Forms
- The person who wants to tender overtime prepares the request for
overtime in duplicate and submits these to the Department Head
- The Department Head approves the requests and furnishes the
accounting/ Payroll copies for such request.
E. PERSONNEL MOVEMENT
There are several forms of movement an employee may undergo while under
employ in the company such as:
Section 1: Promotion– This is a movement of an employee from a lower
position to a higher position based on merit, efficiency, ability and loyalty. Normally,
promotions are accompanied by a corresponding increase in salary.
-As much as possible, if conditions and qualifications are favorable, employees
within the ranks will be given priority in filing up a higher position. As a restriction,
only regular employees who have been occupying current position for the last six
months (at least) shall be considered for the position.
Section 2: Lateral Transfer– This is a movement of an employee from one
position to another within the same organization, the latter position being equal or
at level to the former position. This can be done in cases of exigencies or cross
training.
Section 3: Reclassification– The employees move from one position to
another within the same department. The employee’s position may be reclassified
due to redundancy or a change in the employee’s job description.
Section 4: Demotion– This is a movement of an employee to a lower position
due to inefficiency in the employee’s job performance or a serious violation of
Company rules and regulations.
F. PERFORMANCE EVALUATION AND SALARY REVIEW
Section 1: Performance evaluation is a Management tool used to assess or evaluate
an employee’s performance towards set objectives. Performance evaluations shall
be the Company as basis for decisions on:
 Conversion of probationary status to regular status if work performance is
up to the standards set by the Company.
 Transfer, reassignment or reclassification of an employee.
 Awarding of merit increase to deserving employees.
 Promotions or upgrading of an employee to a higher position.
 Identification of training needs.
 Encouragement of Supervisors to their subordinates to achieve better
coordination and team work.
 Termination of employees due to their consistent failure to meet the
requirements of the job assigned to them or for lack of potential to handle
any other available job in the company.
Section 2: The Salary Administration System- Company ensures equal work and
equal pay in compliance with all Government mandates and laws. Salaries of
employees are based on a salary structure which considers levels or grades of all
 positions in the Company. It is the policy of the company to establish a minimum
salary range for each classified position.
Section 3: The management has established standard hiring rates for new
employees. The Salary rates shall be in line with the employee’s job grade or
Management level except when the work experience of a new employee justifies
salary rate within a position’s salary scale.
Section 4: Review of the Salary structure is normally held every two years or
whenever Management decides that Salaries need reviewing.
G. SEPARATION FROM SERVICE
Section 1: Termination- An employee may be terminated by the Company for
causes set forth in the Labor Code and/or Company’s Code of Discipline. In all cases
involving a termination of an employee’s service from the Company, appropriate
notice of termination shall be furnished to the employee subject to all
accountabilities.
Reasons: Just Cause
Authorized Cause
a. For employees who are terminated specifically due to redundancy or physical
disability, they shall be entitled to a separation pay. It is Top Management’s
prerogative to give any additional amount other than what is legal and lawful
b. As a matter of policy, terminated employees are not qualified for re-
instatement.
Procedure for the Dismissal for Cause
1. The immediate Superior of the employee will recommend in writing to
the General Manager for the dismissal of the concerned employee.
2. The letter should clearly describe the reasons for dismissal. In case of
thief, robbery, or serious, offense involving the properties of the
Company, a signed affidavit of witnesses should be attached to the
letter.
3. The General Manager makes the decision based on his/her evaluation of
the report and evidence presented.
4. Dismissal due to unsatisfactory performance will also be handled by the
HR and General Manager. An employee who has failed the performance
appraisal three (3) times during his employment shall be terminated for
reason of non-performance.
Section 2: Resignation – Any employee who wishes to resign from the Company
should submit a letter of resignation addressed to the General Manager thirty (30)
days before the effectivity date of resignation. It is the prerogative of Management
to shorten the 30 days notice to whatever number of days should turnover be
accomplished earlier or as situation may call for.
Procedure:
a. The employee shall notify the office through a letter signifying his/ her
resignation at least 30 days prior to the intended date.
b. The employee shall properly turnover his works, orient the incoming
employee who will replace the position (if any) and clear all pending
accountabilities in the office.
c. Clearance shall be secured before the release of the final monetary
claims (salaries, other benefits)
d. The company has the right to hold his salaries and other claims if he fails
to follow the above requisites.
Section 3: Retirement – The compulsory retirement age is sixty (60) years old or 15
years of service whichever comes first.
 Section 4: End of Contract/ Probationary Period
a. A contractual employee shall be considered separated from
employment upon the expiration of the contract or the non-renewal
thereof.
b. An employee on a probationary status may be separated from
employment on or before the expiration of the probationary period for
the failure to qualify with the standards established by the company.
Section 5: Separation through Medical Reasons- An employee shall be separated
from the company if his/ her continuous employment will hamper the health of his/
her co-workers.
Section 6: Separation through death – An employee shall be separated through
death. The Family of an employee who died of a work-related death shall have
bereavement assistance from the company.
H. COMPENSATION
Section 1: Salaries – Any employee, whether probationary or contractual shall be
paid a compensation consisting a basic salary.
Manner of Payment – All personnel are paid in two (2) semi- monthlies.
15 and 30th of the month.
th
Section 2: Payroll Deduction- The employees should expect from their pay slips the
following deductions:
 SSS, Philhealth and Pag-ibig Premiums
 Leaves without pay (absences in excess of allowable number of
leaves)
 Company Salry Loans, SSS loans, Pag-ibig loans, etc. (if any)
 Minutes of tardiness
 Other, ie Accountabilities/, etc.
A. LEAVE BENEFITS
Section 1: Service Incentive Leave – When a worker turns one (1) year with the
company, the employee is entitled to five (5) days service incentive leave with pay
SICK LEAVE VACATION LEAVE
10 days 10 days
Section 2: Schedule of Vacation Leave - An employee may take his vacation
anytime of the year provided he has obtained the approval of his supervisor, in
order not to hamper the working schedule of the company. Vacation leave shall be
scheduled at the start of every year. Days taken during vacation leave in excess of
days earned and approved are considered leaves without pay and are deducted
from the concerned employee’s salary.
Section 3: Application fro Vacation Leave – Vacation leave must be applied at least
three (3) days before the intended date. Application leave shall be evaluated by the
immediate superior and furnish a copy to the HRAD/ Accounting Office.
Section 4L Conversion of Vacation Leave - Vacation leaves that are not consumed
within a year is forfeited unless the reason is work related.
B. MATERNITY LEAVE
Section1 : Coverage and Contributions – Female employees who are members of
the SSS shall be entitled to maternity benefits under the provisions of the SSS Law.
 Procedure
a. When a female employee gets pregnant, she should fill out a Maternity
Notification Form immediately upon knowledge of her pregnancy.
(Forms can be taken from the HRAD/ Accounting Office or SSS Office).
b. The HRAD shall take care in processing the accomplished form to the
SSS or the concern employee shall personally process it to the SSS
office.
c. The company shall advance the maternity pay to the employee upon
receipt of the maternity leave application supported by a certificate
duly signed by a physician showing the probable date of childbirth / or
actual date of miscarriage.
C. MEDICAL ASSISTANCE
a. Medical Assistance is provided by the company to accommodate
hospitalization of employee. Maternity is not covered by our health
provider.
Guideline in availing the benefit:
a. When the worker or his dependent is confined in the hospital, he can go
directly to the accredited hospital and present his medical insurance
card.
b. When the worker or his dependent is not confined in the hospital. He/
She can still use his/ her medical card.
D. SSS & PHILHEALTH – In accordance with the Republic Act No. 1161 as amended, all
employees who have served one year and more to the company are enrolled with
the Social Security System and Medical Care (now Philhealth)
E. UNIFORMS / SHOES
a. All employees- Upon entry to the Company, the worker will be issued
with (2) two uniforms deductible from his/ her salary. Upon
regularization, it will be reimbursed to the employee. For regular
employees, issuance of uniforms will be every one year from the latest
issuance.
F. SUBSIDIZED MEAL ALLOWANCE – This is given to employees who are in Official
Business TRIP. (Refer to Policy)
Article III. CODE OF ETHICS, RULES & REGULATIONS
People in any organization have diverse interests and attitudes such that standards are
needed to preserve harmony and discipline. Discipline is important to ensure efficiency,
effectiveness and orderliness in operations and foster company growth and promote
the objectives of the company. All employees therefore are expected to conduct
themselves which will best promote and safeguard the interests of the Company.
Although disciplinary action shall be imposed for violation of these rules, the overall
intent is more of prevention of infraction rather that administration of penalty.
These Rules are not all inclusive, there may be other acts or omissions not contained
herein but which are prejudicial to the common welfare or interests of the company.
The Company, therefore reserves the right to consider said acts and impose appropriate
sanctions or penalties.
Section 1. Work Performance. Every employee is hired because he/ she is fit to perform
a certain job effectively. He/ she is expected to discharge his/her duties and
responsibilities efficiently, satisfactorily and to the best of his/ her ability. Acts of
negligence and carelessness is subject to disciplinary measures. Employees are expected
to perform their tasks during hours of work at assigned or work area. In line with this
rule, the following are prohibited:
 a. Loiter during working hours or spend time away from the job;
b. Leave work or work area to attend to matters outside the company’s business
or his/ her particular functions;
c. Interface with the work of or disturb co-worker, while away time, chat or
gossip;
d. Peddle/ Sell any kind of merchandise, solicit orders or conduct personal
business inside the company premises;
Section 2. Company’s Interest. Every employee has the responsibility to protect the interest
of the Company. As such, the following acts are prohibited:
a. Soliciting or receiving fees, commission or kickbacks from clients, suppliers,
collectors etc. in consideration of patronizing their products or services or for
services rendered in connection with any Company transaction. (shortened)
1st offense - Dismissal
b. Revealing confidential matters, data or other information relative to Company
transactions, operations or communications or secrets of trade;
1st offense- Dismissal
c. Making or spreading malicious, derogatory or false statements regarding the
Company or its services or operations;
1st offense- Dismissal
d. Engaging in business with a competitor, customer, or supplier without written
approval of the company.
Verbal warning to Dismissal depending on the gravity or damaged caused.
e. Use of Company facilities, material or intellectual properties and/or equipment/
supplies for personal purposes without prior consent from his/ her superior;
Verbal warning to Dismissal depending on the gravity or damaged caused.
f. Payment of the cost of anything from corporate funds if such expenditure is not
authorized or not reimbursable without prejudice to salary deduction;
Suspension to Dismissal
g. Withholding information from supervisor that is of vital interest to the
company;
Warning to Suspension
Section 3. Confidential Information - Employees are strictly prohibited from making any
unauthorized disclosure of confidential information concerning the company’s business.
Section 4. High Moral Standards – Employees should always maintain high moral standards
of behavior and must refrain from indecent, lewd and immoral acts which could give
occasion for scandal or loss of confidence in the company. Violation of this rule shall be
penalized from suspension to dismissal depending on the gravity of the offense or damage
caused.
Section 5. Office Etiquette-Employees shall always maintain smooth and harmonious
relationships. Everyone them must respect each other and be mindful of the rules on
courtesy and proper decorum at all times.
Section 6. Customer Relations- All employees are expected to abide by the highest standard
or customer service, hence shall always be guided by the following general policies:
a. Business-like with cordial formality to promote and enhance company’s
professional and service oriented environment;
b. Fair and Honest;
c. Geared towards serving the needs and interests of customers and the company
and securing and maintaining the confidentiality of official business;
d. Utmost courtesy, cooperation and assistance at all times arising from official
transaction of the client.
Violation of customer service relations includes but not limited to the following acts:
a. Poor customer relations, unbecoming attitude or unprofessional conduct
towards customers;
 b. Poor telephone etiquette;
c. Poor quality of service or workmanship;
d. Negligence of or non-compliance with standard operating procedures (failure to
give required customer specifications/ follow-up, loss of customer due to
negligence, unnecessary delays/ back jobs)
A valid customer complaint (written) against any employee may warrant disciplinary
action. An employee liable for negligence after validation may be required to
shoulder the costs i.e. replacement of lost or damaged items, back jobs and other
related expenses.
Section 7. Superior’s directives/ instructions. Every employee must perform and comply
with all reasonable directives and instructions of duly authorized superiors or officers to
maintain effective work system/ operations and promote harmony and good order.
Insubordination can be committed in the following acts:
a. Insubordination or disobedience to lawful or reasonable orders/ instructions of
superior/ officer.
b. Refusal to follow instructions regarding transfer of assignment.
c. Refusal to perform work or deliberate delay in completion of work;
d. Disregard of safety regulations.
Section 8. Trust and Confidence. Upon employment, the company extends its trust and
confidence to every employee allowing him/ her to handle various transactions and giving
him/ her access to cash, equipment as well as other restricted and confidential matters
pertinent to its operations and business. Every employee then is expected to:
a. Preserve and maintain that trust and confidence at all times;
b. Exercise honesty in handling/ using funds and assets belonging to the Company
or those entrusted by clients or doing business with the company;
c. Furnish correct information or documentation and other papers deemed
necessary;
d. Unless authorized, not to disclose or reproduce classified, restricted or
confidential communication, record, documents and all information pertaining
to the company’s business or affairs.
Acts in violation to this rule but not limited to the following:
a. Manipulating or kiting of funds, misappropriation or malversation
1st offense- dismissal
b. Committing acts of forgery
1st offense-dismissal
c. Theft and robbery of Company’s or co-employee’s property
1st offense-dismissal
d. False or fraudulent statements in application forms/ other records
Suspension or Dismissal depending on the gravity or damage caused
e. False claims or reimbursement
Suspension or Dismissal depending on the gravity or damage caused.
Section 9. Workshop Decorum. The company imposed the following safety guidelines and
workshop procedures to specifically ensure the safety of employees whose work are
confined in the production/ service workshop, (Health and Safety regulations from time to
time):
a. Proper wearing of uniform, safety shoes and gloves, gadgets and equipment (or
PPE)
b. Tools and tools usage policy
c. Respect for no smoking sign
d. Immediate reporting of accidents and other unusual occurrences
Section 10. Telephone Manners. As much as possible, telephones shall be used only for
official business. Private calls must be kept to a minimum. Telephone calls should be
answered promptly and inquiries should be handled courteously.
Section 11. Office/ Proper attire/ Cleanliness/ Orderliness. To maintain professional and
business deals with the public, and for company identity, all employees must wear the
prescribed uniform with their company identification card.
Employees who have not been issued uniforms, must wear proper/ appropriate shoes (no
sandals/ slippers). Wear proper/ appropriate clothing (no sando, spaghetti strapped, etc)
Section 12. Attendance (absences). Every employee must maintain a good attendance
record and refrain from incurring absences which disrupt operations and continuity of work.
Working days are from Mondays to Saturdays, unless a different work schedule is adopted
by Management. The following are the rules in vacation and sick leaves:
An employee who finds it necessary to be absent from work must secure a prior permission
from the Head at least one (1) week in advance.
a. Absence without prior permission shall be considered Absence Without Official
Leave (AWOL) and the employee shall not receive any pay for the days on AWOL
nor may such absence be charged against his/her leave credits.
b. Employee must confirm approval of his/her request for leave of absence before
going on leave. Mere accomplishment of the Leave form is not his/her
assurance that his/her request will be approved;
c. Absence despite denial or disapproval of the request shall be considered as
abandonment of work;
d. If an employee cannot secure prior permission due to some emergency, illness,
accident or other compelling reasons, he/she must inform his/her superior for
the inability to report for work by telephone, telegram or message within first
hour or before 9:00am of the day of absence;
e. Upon reporting for work, must explain in writing the absence and accomplish
the leave Form.
f. Extension of Leave without prior approval is not allowed and such unauthorized
extension shall be considered AWOL;
Section 13. Punctuality & Undertime. As part of self-discipline, every employee is expected
to be punctual. Being punctual means an employee is at his/her designated working area at
the start of official working hours.
The official working hours shall be from 8:00 a.m to 5:00 p. m. with one (1) hour lunch
break, unless management has approved in writing a different work schedule. An employee
who arrives after the official working time is considered Tardy.
Tardiness maybe excused (and not considered or marked as violation of this Rule but
deducted from Salary) if:
a. Brought about by circumstances beyond control as in typhoons or floods upon
provided it is declared by the GM, or accidents or emergency reasons;
b. It can be anticipated as in personal official business
Tardiness shall be subject to disciplinary sanction under the following:
a. Habitual Tardiness – refers to five (5) counts of tardiness in a month
b. Habitual Undertime – refers to five (5) counts of unauthorized undertime in a
given month.
Section 14. Use of Company property. The company provides for office equipment, facilities
and tools to ensure efficiency and comfort in the performance of assigned tasks. Employees
are expected to exercise due care in the use and handling of company properties.
The following are some Rules in the use of property:
 a. Materials, Office equipment, stationery and supplies are to be used foe Section 3. Preventive Suspension
authorized work only and not for personal and unauthorized work; Section 4. Documentation / Final Report
b. Company property may not be taken out of the working premises without prior Section 5. Enforcement of Decision
authorization from duly authorized officer;
Investigation Flowchart
c. Breakdowns in machines or equipments or loss thereof must be reported
immediately and be promptly repaired;
Employee commits infraction
d. Office facilities, fixture and other office/ workshop equipment must be
unplugged and at their proper place at the end of the working area.

Supervisor In-charge reports to

Each employee then observes continuous 5’s of good housekeeping.
Dept. Head
e. The use of company vehicle maybe requested for official duties and transactions
through an approved Vehicle Trip Ticket, and the employee driver must observe Dept. Head coordinates with
and comply with all applicable traffic laws and regulations. HRD

Section 15. Security and Order. Security and order must always be maintained. Every
Dept. Head requests fro written Investigation Committee is
employee has the duty to abide by the Company’s policies and regulations.
explanation formed
The following acts are prohibited:

a. To carry firearms or deadly weapons inside the Company premises; Dept. Head recommends
b. T o stay inside the company on no-working days unless authorized to work sanctions/ coordinates with HRD
overtime;

Section 16. Health and Safety- Every employee must observe health and safety procedures, HRD prepares memo
and comply with its rules as established by Safety Committee.
Committee recommends sanction
Article V. IMPLEMENTING PROCEDURES Dept. Head issues memo / for approval by Top Mgnt.
Section 1. Preliminary report. Anyone who discovers/ learns of an employee’s wrongdoing counsels
must immediately report the incident to the immediate superior.
Section 2. Investigation Procedure.